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V1307-16 31 March 2016 · SG de Impuestos sobre las Personas Jurídicas Criterion in force
IS · sociedad civil

Civil companies with commercial purposes and legal personality are subject to Corporate Tax

A query was raised regarding whether a civil company acting as a commercial agent must pay Corporate Tax. The DGT ruled that it must, provided it has a commercial purpose and legal personality for tax purposes.

The question raised

Whether the consulting entity must be taxed under Corporate Income Tax as of January 1, 2016.

The DGT's ruling

Civil societies with a commercial purpose are taxpayers of Corporate Income Tax. To possess legal personality for tax purposes, they must be constituted by public deed or through a private document submitted to the Administration to obtain a Tax Identification Number. A commercial purpose implies performing production, exchange, or service activities in a non-excluded sector, excluding agricultural, livestock, forestry, mining, and professional activities.

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